Just weeks before the Tesla semi truck is set to debut, reports claim that as many as 700 employees were fired for performance-based reasons.
— Charlie (@TSLAEE) October 11, 2017
As Many As 700 Workers Terminated By Tesla
— Los Angeles Times (@latimes) October 16, 2017
According to a report in the Los Angeles Times, Tesla conducted a mass-firing last Friday and is said to have terminated somewhere between 400 and 700 workers. Tesla has declined to comment on the number of workers who were fired, but they did say that the majority of the firings were for workers in sales or administrative positions. Tesla also emphasized that the workers were being fired following an annual performance review for poor performance and that they were not being laid off. The company says that it plans to fill most of the vacancies.
Many former Tesla employees told the Mercury News that they received little or no warning about the firings.
— Charlie (@TSLAEE) October 15, 2017
Some Tesla employees were reportedly trying to form a union, and some of these pro-union workers were among those on the chopping block during the mass firing.
Tesla Pushes Back Semi Debut To Help With Model 3 Production
The news comes after Tesla has struggled to hit production goals, particularly for the Mode 3 Sedan. Last quarter, Tesla manufactured just over 250 of the Model 3s even though the number of names on the wait list for the vehicle is 450,000, blaming production bottlenecks for the low numbers.
Tesla has also had to push back the release date for the electric Tesla Semi from October 26 to November 16. This move was made so that the company could focus more of its resources on the production of the Model 3 and so that Tesla could increase battery production to help disaster victims in Puerto Rico.
Tesla employs about 33,000 workers.
— FOX Business (@FoxBusiness) October 16, 2017